Mortgage Payment Date Change

Charlieg88

Hi all.  

I have a new job and my pay day is the last day of the month.  Our Halifax mortgage payment date is currently 28th of the month but we don't have enough money in the bank to cover it until I get paid.  I have spoken to Halifax but as we need to make a payment every calendar month the only way I can change it is if I pay on 28th April and then again on 1st May which we can't afford either!  

They need a payment each calendar month so even though the payment with only be 3 days later it will fall into the next month!  We can have a payment holiday for April but that will add interest to the end of the mortgage and we won't be financially any better off as the next payment will fall on 1st May anyway.

What would be the easiest/cheapest solution for this please?  

K_S

@charlieg88 It's important to keep in mind a 'payment holiday' may appear on your credit report and if it does, will have an adverse impact. Before deciding to take that option, do ask Halifax about how it'll be reported on your credit report so you can factor that in to your decision.

Sistergold

Increase in interest due to deferred payment is really the least of your worries. If you do not have the money then there is nothing you can do but ask for payment holiday. You then schedule to pay as from the 28th of April. This means each 1st of month you keep money until the month end for mortgage payment to go out. 

The thing is though you really need to have an emergency fund as worse things/emergencies can happen than just a change in payday. 

If you don’t manage to have a handle on this change in payday by being able to keep money this can easily escalate. 

You could also ask for them to change payment date to something like the 3rd or 4th of each month so that you don’t keep the money for too long. If you get payed on the 1st don’t set up a direct debit on the 1st IMO. 

Charlieg88

Sistergold said:

Increase in interest due to deferred payment is really the least of your worries. If you do not have the money then there is nothing you can do but ask for payment holiday. You then schedule to pay as from the 28th of April. This means each 1st of month you keep money until the month end for mortgage payment to go out. 

The thing is though you really need to have an emergency fund as worse things/emergencies can happen than just a change in payday. 

If you don’t manage to have a handle on this change in payday by being able to keep money this can easily escalate. 

You could also ask for them to change payment date to something like the 3rd or 4th of each month so that you don’t keep the money for too long. If you get payed on the 1st don’t set up a direct debit on the 1st IMO. 

Thank you.  We do have family who can help us out in emergencies and I have credit cards.  I just didn't want to pay £700+ pounds for the sake of changing the mortgage payment for 2-3 days.  

I have done some working out and I think when the mortgage comes out we will be able to cover around half of it so I will get an overdraft which we will only go into for those couple of days at the end of each month!

gizmo111

Can the payment just be changed to last day of the month to match your pay?

Sistergold

Charlieg88 said:

Sistergold said:

Increase in interest due to deferred payment is really the least of your worries. If you do not have the money then there is nothing you can do but ask for payment holiday. You then schedule to pay as from the 28th of April. This means each 1st of month you keep money until the month end for mortgage payment to go out. 

The thing is though you really need to have an emergency fund as worse things/emergencies can happen than just a change in payday. 

If you don’t manage to have a handle on this change in payday by being able to keep money this can easily escalate. 

You could also ask for them to change payment date to something like the 3rd or 4th of each month so that you don’t keep the money for too long. If you get payed on the 1st don’t set up a direct debit on the 1st IMO. 

Thank you.  We do have family who can help us out in emergencies and I have credit cards.  I just didn't want to pay £700+ pounds for the sake of changing the mortgage payment for 2-3 days.  

I have done some working out and I think when the mortgage comes out we will be able to cover around half of it so I will get an overdraft which we will only go into for those couple of days at the end of each month!

Sounds like a plan. Also you need to start that emergency fund. Save 3 months of your  expenses it will give you peace of mind. Later increase it to 6 months of monthly expenses. Don’t worry about how long it will take you to do this.